• Focus News EU is an independent media based in Europe
  • providing the world's latest news, the definitive source for independent journalism from every corner of the globe.

Airbus, World’s Largest Planemaker, Warns of Layoffs Due to Pandemic

Business Noah 4weeks ago (09-22) 9Views

Gabbard: Election Fraud a ‘Serious Threat’

Rep. Tulsi Gabbard (D-Hawaii) has put forward a bipartisan bill aiming to improve the security of vote-by-mail. It proposes to incentivize states to ban ballot harvesting. Here’s the latest on the 2020 U.S. presidential election coverage.Focus News: Gabbard: Election Fraud a ‘Serious Threat’

Airbus, World’s Largest Planemaker, Warns of Layoffs Due to Pandemic

Airbus, the world’s biggest aircraft manufacturer, warned it may have to resort to mandatory layoffs amid broader cost-cutting measures due to the ongoing, pandemic-driven drop in demand for travel, CEO Guillaume Faury told French radio station RTL on Tuesday.

Faury said Airbus will do its best to meet cost reduction objectives without slashing staff, including voluntary redundancies, but warned there’s no guarantee this won’t happen as the outbreak of the CCP (Chinese Communist Party) virus has hit air travel with a colossal blow. With the pandemic-fueled drop in demand for air travel, airlines have slowed deliveries of new aircraft.

“The crisis is existential. Our life as a business is potentially at risk if we don’t take the right measures. We are taking them,” Faury said.

The planemaker has already committed to cutting 15,000 jobs, with a number of layoffs made through a voluntary redundancy scheme. But on Tuesday, Faury warned some of the cuts may be compulsory.

“The situation is so serious, and we are faced with so much uncertainty, that I think no one can guarantee there won’t be compulsory redundancies if we’re to adapt to the situation, especially if it evolves further,” he added.

“On the other hand, what I say clearly is that we have a lot of work to do, we will do everything we can to avoid arriving at that point,” he told the radio station. “There are lots of measures we can take between voluntary redundancies and compulsory redundancies,” he said.

Earlier this month, in a letter sent to staff, Faury warned Airbus may have to resort to compulsory layoffs as air travel has failed to recover from the pandemic as quickly as hoped.

At the end of June, Airbus announced plans to hold output down by 40 percent for 2 years.

“For the next 2 years—2020/21—we assume that production and deliveries will be 40 percent lower than originally planned,” Faury told the German newspaper Die Welt at the time.

He added that he expects output will return to normal by 2025, while depressed deliveries will catch up with production by the end of 2021.

Airbus is expected to rely partly on early retirements, with around 37 percent of its 135,000-strong workforce due to retire this decade. Its main plants are in France, Germany, Spain, and Britain.

Meanwhile, Republican senators on Monday introduced a bill that would give America’s ailing airline industry more than $28 billion in additional aid as carriers prepare to cut more than 30,000 jobs as restrictions preventing layoffs imposed on air carriers under a previous round of aid lapse at the end of the month.

As part of the CARES Act, Congress approved $32 billion in aid for airlines, on condition that they maintain certain levels of service and don’t cut jobs or pay until Sept. 30. Airlines have warned that without more relief, they will likely have to slash jobs. The new bill would protect jobs until the end of next March.

Reuters contributed to this report.

Follow Tom on Twitter: @OZImekTOM

Focus News: Airbus, World’s Largest Planemaker, Warns of Layoffs Due to Pandemic

House Democrats Unveil Bill to Avert Government Shutdown, Lacks Farm Aid

House Democrats on Monday introduced a bill to keep the federal government funded until Dec. 11, although it’s not clear if the White House or congressional Republicans will take it up, raising the prospect of a federal shutdown by the end of September. The continuing resolution (CR) bill (pdf) extends current levels of spending past the Sept. 30 deadline until Dec. 11. However, it does not include $30 billion for farm aid that the White House sought, officials said. “We do prefer additional farm aid in the CR. Most of all we want a clean CR, keep the government open,” White House economic adviser Larry Kudlow told reporters on Monday, suggesting that the White House may still accept the bill in its current form without farm aid. It’s not clear if the…

The article is from the Internet, and the content does not represent the position of this website.丨This website usesBY-NC-SAagreement for authorization
please indicate the link for reprint:Airbus, World’s Largest Planemaker, Warns of Layoffs Due to Pandemic
Likes (0)